Top reasons for Kilburn lease extension

Why you should start your Kilburn lease extension today:

Increase your lease and increase your Kilburn property value

The market value of Kilburn leasehold residential property falls as the lease term becomes shorter and this will have an impact on its saleability. The expense of extending the lease can increase substantially once the remaining term is less than eighty years

Kilburn property with a lease extension is almost the same value as a freehold

Leasehold residencies in Kilburn with in excess of 100 years remaining on the lease are often referred to as ‘virtual freehold’. This is where the lease is worth the same as a freehold interest in your premises. In such situations there is often little to be gained by purchasing the freehold unless savings on ground rent and estate charges merit it.

Banks and Building Societies may not grant a mortgage with a short lease

The propensity since the credit crunch has been for mortgage companies to tighten lending requirements generally - this has extended to the property over which the home loan is to be granted. This has resulted in the minimum number of years remaining under the lease required by mortgage companies has increased. In the past banks would lend on a lease with 25 years plus the term of the loan - routinely 50 year leases but those requirements have been chipped away by the requirement for lengthy leases - many use a minimum term of 75 years as standard.

Get in touch with one of our Kilburn lease extension solicitors or enfranchisement solicitors

Lease extensions in Kilburn can be a difficult process. We recommend you obtain guidance from a conveyancing solicitor and surveyor well versed in the legislation and lease extension process.

We provide you with an expert from a selection of lease extension solicitors, which ensures a targeted and efficient service as you have a dedicated port of call with an individual lawyer. Our lease extension solicitors have in-depth market knowledge dealing with Kilburn lease extensions and further afield, as well as any potential issues which may arise as well as problems with the Leasehold Valuation Tribunal.

Kilburn Lease Extension Case Studies:

Thomas, Kilburn, North London,

Thomas owned a conversion flat in Kilburn on the market with a lease of just over sixty years unexpired. Thomas on an informal basis contacted his landlord being a well known Manchester-based freehold company for a lease extension. The landlord was prepared to grant an extension on non-statutory terms taking the lease to 125 years on the basis of a rise in the rent to £50 annually. No ground rent would be due on a lease extension were Thomas to exercise his statutory right. Thomas obtained expert legal guidance and secured satisfactory deal informally and readily saleable.

Kilburn case:

Last Summer we were called by Dr N Cook , who completed a ground floor apartment in Kilburn in November 2004. The dilemma was if we could estimate the premium could be to extend the lease by 90 years. Similar premises in Kilburn with a long lease were valued about £216,000. The mid-range amount of ground rent was £60 collected quarterly. The lease ran out in 2084. Given that there were 58 years remaining we estimated the compensation to the landlord to extend the lease to be within £28,500 and £33,000 not including expenses.